Accelerating Your Customer Onboarding Through Digital Adoption
With so many digital choices to choose from, traditional client onboarding, which can take weeks, even months to complete is certainly a poor customer experience. Many processes are still manual, time-consuming, expensive and ineffective. And, with fintech snapping at your heels, if you fail to onboard your customers quickly, they might start to consider other more-nimble options.
But moving to digital can carry regulatory risks – especially if your organization is not taking proper privacy precautions with client data. Here’s how you can onboard new clients safely, quickly and, most-importantly, digitally:
Why bother going digital?
In every industry, including finance and banking, customer interactions are increasingly moving to purely digital channels. In order to stay relevant, even large banking and financial service providers must do the same. While technologies such as mobile and digital banking were first adopted by millennials, they are now widely used, by customers of all ages.
In a nutshell: Digital onboarding lets customers choose how, where and when they wish to join your bank.
And, for banks, where customer centricity is paramount, employing digital channels brings personalization and engagement for all their banking customers. The transition to digital also lowers costs and it is easier to measure effectiveness. In fact, according to a recent eMarketer report, the importance of increasing the use of digital channels, among financial institutions, is rapidly outpacing other business objectives, seeing a year-over-year increase of 15 per cent in importance from 2016 to 2017
The importance of protecting customers
A recent Echoworx survey shows that most customers take less than 30 seconds to assess the safety of an email. Yet only 40 per cent of organizations that have encryption technology use it to protect sensitive data. In these instances, fully one third of emails that should be encrypted, are sent in the clear.
Our research shows that 64 per cent of customers are more concerned about their online privacy than a year ago. And 62 per cent don’t trust that their Internet activity is private. Given the number of data breaches in recent months, these figures shouldn’t be a surprise.
Yet customers assume your organization is protecting their interests, and their data. Your customers must be able to trust that their information is secure in your hands. The stakes are high: 80 per cent of customers will consider leaving your organization after a breach.
Additional digital perks for your customers
Implementing digital channels and enabling faster onboarding will also bring other benefits for financial institutions:
- Reducing the onboarding touch points to complete onboarding faster and more easily. Customers want to complete their onboarding and application journey with the minimum of interactions before they can access services.
- Faster onboarding means it is less likely that new customers will develop negative impressions about their financial institution.
- Establishing rapport quickly to provide products and services. Customers are more satisfied when the relationship is put into place immediately.
A Scottish case study
The challenge with digital onboarding is to strike the right balance: the process must be easy to use, but document security must be maintained.
One of Scotland’s largest banks came to us with this challenge and the results have been favourable.
After implementing our solution, all their application forms for accounts, loans, mortgages and investments are now emailed as secure PDFs. The customer then fills out the documents and emails them back, also securely. Because the process is digital and uses secured encryption, onboarding can be completed in a few days.
The bank estimates they are reducing the time to onboard new customers by over a week. As a bonus, they have also drastically reduced the postage costs associated with the old onboarding process. Everyone benefits: customers find the onboarding experience easy to navigate, and the bank can trust in the security and integrity of the process.
The Echoworx difference
The Scottish bank example discussed above is just one of the unique ways your financial institution can leverage the power of our OneWorld encryption platform to help streamline your client onboarding processes. With multiple delivery methods and the ability to send millions of secure documents at the click of a mouse, in addition to other perks, like being able to brand your secure communications, OneWorld speeds up your onboarding process, reduces confusing clutter and keeps your banking institution airtight in the eyes of regulators.
By Derek Christiansen, Engagement Manager, Echoworx